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...Instead, the total value of the account is taxed — and in 2024 that was at a level of about 1 per cent....
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...And big institutional investors, such as pension funds, still want to put their cash piles to work. Indeed, there remains plenty of interest in market-beating trades....
...“When iShares competes directly with Vanguard on cost, like S&P 500 or total stock market ETFs, investors still reach for Vanguard’s ETF because those cheap, broad-market index funds are what [Vanguard is...
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...scrutiny than local property owners in what has historically been a fragmented market....
...in US institutional prime money market funds — roughly a third of the entire market — the result of a tweak in SEC rules....
...Under the Securities and Exchange Commission’s new rules, institutional prime funds must impose a fee on departures whenever net redemptions top 5 per cent of total net assets in a single day....
...The HashRate crypto mining index, which tracks such stocks, is down 75 per cent since August 2021....
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...Email me: harriet.agnew@ft.com Chart of the week A closely watched gauge of stock market sentiment has hit its most extreme level since 2008, as options traders increasingly focus on capturing further...
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...BlackRock’s lead in the US exchange traded fund market is being eroded by Vanguard and smaller rivals as firms jockey for a larger slice of the $8tn industry....
...True, passive has grown substantially in size and now accounts for 39 per cent of the $41.5tn global funds market and 23 per cent of the $98tn total industry assets under management....
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...Cash sitting in US institutional money market accounts now totals almost $3.5tn, according to the Investment Company Institute, a sum that has climbed steadily this year even as stock markets gather strength...
...and institutional investors into the market....
...Most investors should therefore just sit on their hands and buy the entire market. That helped spawn the first index funds in the early 1970s....
...But, AI start-ups aside, new heady days of reckless funding, nosebleed valuations and spectacular stock market exits still look a way away. john.thornhill@ft.com...
...Here’s a look insideJack Bogle, founder of passive pioneer Vanguard, once described active managers as “the greedy parasite who eats away at the host”....
...For passive evangelists, such as the late Jack Bogle, founder of Vanguard, the whole idea was to do away with the risks and costs of an active fund manager and “buy the market” cheaply in a diversified way...
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